Wednesday, March 3, 2021

Nearly 500 Japanese firms gone bust due to Covid-19, reports say

Businesses operating in the food, accommodation and clothing industries were the most affected.

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Almost 500 businesses have gone bankrupt in Japan since February due to the economic hardships caused by the coronavirus pandemic, according to media reports quoted by the Sputnik news agency

As of Friday, the number of companies that had filed for bankruptcy or launched legal liquidation procedures in Japan reached 489, the NHK broadcaster reported, citing the Teikoku Databank research firm.

Businesses operating in the food, accommodation and clothing industries were the most affected, according to Teikoku Databank.

Meanwhile, 8.5% of small and medium businesses might cease operations if the pandemic does not end soon, according to a survey conducted by Tokyo Shoko Research in July and August. The results of the survey suggest that over 300,000 Japanese companies may face bankruptcy.

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